The FTC has determined that no further action is warranted and Global expects that it will take possession of the facilities by early in the third quarter. It will finance the $47.5 million purchase with borrowings from its bank group.
Global first reached agreement on the purchase last August. It will pick up some 950,000 bbl of combined gasoline and distillate storage along the Hudson River and the Central Valley of New York.
The review came in part because Global already owns and operates a 400,000-bbl terminal in the region that it bought from ExxonMobil several years ago. Earlier this year, Global solicited support from Hudson Valley marketers, via
letters to the FTC that were supportive of the deal.
Global president and chief executive officer Eric Slifka believes that the deal will be accretive for shareholders of the publicly traded master limited partnership.